§ 950aaa-2. — Telemedicine and distance learning services in rural areas.
[Laws in effect as of January 7, 2003]
[Document not affected by Public Laws enacted between
January 7, 2003 and December 19, 2003]
[CITE: 7USC950aaa-2]
TITLE 7--AGRICULTURE
CHAPTER 31A--TELEMEDICINE AND DISTANCE LEARNING SERVICES IN RURAL AREAS
Sec. 950aaa-2. Telemedicine and distance learning services in
rural areas
(a) Services to rural areas
The Secretary may provide financial assistance for the purpose of
financing the construction of facilities and systems to provide
telemedicine services and distance learning services in rural areas.
(b) Financial assistance
(1) In general
Financial assistance shall consist of grants or cost of money
loans, or both.
(2) Form
The Secretary shall determine the portion of the financial
assistance provided to a recipient that consists of grants and the
portion that consists of cost of money loans so as to result in the
maximum feasible repayment to the Federal Government of the
financial assistance, based on the ability to repay of the recipient
and full utilization of funds made available to carry out this
chapter.
(c) Recipients
(1) In general
The Secretary may provide financial assistance under this
chapter to--
(A) entities using telemedicine services or distance
learning services; and
(B) entities providing or proposing to provide telemedicine
service or distance learning service to other persons at rates
calculated to ensure that the benefit of the financial
assistance is passed through to the other persons.
(2) Electric or telecommunications borrowers
(A) Loans to borrowers
Subject to subparagraph (B), the Secretary may provide a
cost of money loan under this chapter to a borrower of an
electric or telecommunications loan under the Rural
Electrification Act of 1936 (7 U.S.C. 901 et seq.). A borrower
receiving a cost of money loan under this paragraph shall--
(i) make the funds provided available to entities that
qualify under paragraph (1) for projects satisfying the
requirements of this chapter;
(ii) use the funds provided to acquire, install,
improve, or extend a system referred to in subsection (a) of
this section; or
(iii) use the funds provided to install, improve, or
extend a facility referred to in subsection (a) of this
section.
(B) Limitations
A borrower of an electric or telecommunications loan under
the Rural Electrification Act of 1936 [7 U.S.C. 901 et seq.]
shall--
(i) make a system or facility funded under subparagraph
(A) available to entities that qualify under paragraph (1);
and
(ii) neither retain from the proceeds of a loan provided
under subparagraph (A), nor assess a qualifying entity under
paragraph (1), any amount except as may be required to pay
the actual costs incurred in administering the loan or
making the system or facility available.
(3) Appeal
If the Secretary rejects the application of a borrower who
applies for a cost of money loan or grant under this section, the
borrower may appeal the decision to the Secretary not later than 10
days after the borrower is notified of the rejection.
(4) Assistance to provide or improve services
Financial assistance may be provided under this chapter for a
facility regardless of the location of the facility if the Secretary
determines that the assistance is necessary to provide or improve
telemedicine services or distance learning services in a rural area.
(d) Priority
The Secretary shall establish procedures to prioritize financial
assistance under this chapter considering--
(1) the need for the assistance in the affected rural area;
(2) the financial need of the applicant;
(3) the population sparsity of the affected rural area;
(4) the local involvement in the project serving the affected
rural area;
(5) geographic diversity among the recipients of financial
assistance;
(6) the utilization of the telecommunications facilities of any
telecommunications provider serving the affected rural area;
(7) the portion of total project financing provided by the
applicant from the funds of the applicant;
(8) the portion of project financing provided by the applicant
with funds obtained from non-Federal sources;
(9) the joint utilization of facilities financed by other
financial assistance;
(10) the coordination of the proposed project with regional
projects or networks;
(11) service to the greatest practical number of persons within
the general geographic area covered by the financial assistance;
(12) conformity with the State strategic plan as prepared under
section 2009c of this title; and
(13) other factors determined appropriate by the Secretary.
(e) Maximum amount of assistance to individual recipients
The Secretary may establish the maximum amount of financial
assistance to be made available to an individual recipient for each
fiscal year under this chapter, by publishing notice of the maximum
amount in the Federal Register not more than 45 days after funds are
made available for the fiscal year to carry out this chapter.
(f) Use of funds
Financial assistance provided under this chapter shall be used for--
(1) the development and acquisition of instructional
programming;
(2) the development and acquisition, through lease or purchase,
of computer hardware and software, audio and visual equipment,
computer network components, telecommunications terminal equipment,
telecommunications transmission facilities, data terminal equipment,
or interactive video equipment, or other facilities that would
further telemedicine services or distance learning services;
(3) providing technical assistance and instruction for the
development or use of the programming, equipment, or facilities
referred to in paragraphs (1) and (2); or
(4) other uses that are consistent with this chapter, as
determined by the Secretary.
(g) Salaries and expenses
Notwithstanding subsection (f) of this section, financial assistance
provided under this chapter shall not be used for paying salaries or
administrative expenses.
(h) Expediting coordinated telephone loans
(1) In general
The Secretary may establish and carry out procedures to ensure
that expedited consideration and determination is given to
applications for loans and advances of funds submitted by local
exchange carriers under this chapter and the Rural Electrification
Act of 1936 (7 U.S.C. 901 et seq.) to enable the exchange carriers
to provide advanced telecommunications services in rural areas in
conjunction with any other projects carried out under this chapter.
(2) Deadline imposed on Secretary
Not later than 45 days after the receipt of a completed
application for an expedited telephone loan under paragraph (1), the
Secretary shall notify the applicant in writing of the decision of
the Secretary regarding the application.
(i) Notification of local exchange carrier
(1) Applicants
Each applicant for a grant for a telemedicine or distance
learning project established under this chapter shall notify the
appropriate local telephone exchange carrier regarding the
application filed with the Secretary for the grant.
(2) Secretary
The Secretary shall--
(A) publish notice of applications received for grants under
this chapter for telemedicine or distance learning projects; and
(B) make the applications available for inspection.
(Pub. L. 101-624, title XXIII, Sec. 2333, as added Pub. L. 104-127,
title VII, Sec. 704, Apr. 4, 1996, 110 Stat. 1109.)
Termination of Section
For termination of section by section 1(b) of Pub. L. 102-551,
see Termination of Chapter note set out under section 950aaa of this
title.
References in Text
The Rural Electrification Act of 1936, referred to in subsecs.
(c)(2) and (h)(1), is act May 20, 1936, ch. 432, 49 Stat. 1363, as
amended, which is classified generally to chapter 31 (Sec. 901 et seq.)
of this title. For complete classification of this Act to the Code, see
section 901 of this title and Tables.
Prior Provisions
A prior section 950aaa-2, Pub. L. 101-624, title XXIII, Sec. 2333,
Nov. 28, 1990, 104 Stat. 4017; Pub. L. 103-354, title II,
Sec. 235(b)(4)(A), (C), Oct. 13, 1994, 108 Stat. 3221, 3222, provided
definitions for chapter, prior to the general amendment of this chapter
by Pub. L. 104-127.
Section Referred to in Other Sections
This section is referred to in section 917 of this title.
